The Best Car Finance Blog In The World

A potential four million drivers have fallen asleep at the wheel at some point, a new study has revealed.

Issued by road safety charity IAM RoadSmart, the findings show that one in ten of the 1,000 motorists surveyed admitted to momentarily closing their eyes because they were so tired.

In addition, more than half of drivers also said that they were very concerned about fatigue when driving long distances. Applied to the more than 40 million licence holders registered in the UK, this equates to more than 20 million drivers.

Neil Greig, IAM RoadSmart director of policy and research, said: “Fatigue behind the wheel is a very serious problem, perhaps more concerning than previously thought of.

“It is shocking to think a potential four million drivers have closed their eyes behind the wheel because they were so tired, even if it was just for a short time. The potential carnage that could result from even one accident doesn’t bear thinking about.”

Other areas of the research highlighted further issues, with one in ten drivers admitting that they had hit the rumble strip of a road, while four in ten had turned down the heating or lowered the windows in order to prevent themselves from feeling tired.

Greig added: “Driving a long distance needs pre-planning to ensure there are plenty of available rest places and to make sure there’s enough time to complete the journey if delays are encountered.

Never drive for longer than two hours without a break and take particular care if driving when you would normally be asleep. This is even more important as the country reopens after the pandemic and not all facilities may be available yet.

“Drivers can then concentrate on staying alert behind the wheel rather than staving off tiredness by trying to reach their end destination without adequate rest breaks.” By Graham Hill thanks to Yahoo News

Some drivers have been unable to get on the road due to 1.4 million DVLA applications waiting to be processed

The Driver and Vehicle Licensing Agency (DVLA) is faced with a “catastrophic” backlog of paper applications due to social-distancing rules, and industrial action linked to Covid-19.

Strikes by the Public and Commercial Services Union (PCS) have been staged in response to what it calls “unsafe” working conditions, contributing to the mass of unprocessed applications.

More than 643 of the DVLA’s 6,000-strong workforce are reported to have had Covid, although the organisation says it has followed Government advice at every stage.

Mark Serwotka, head of the PCS, told the BBC that the backlog of 1.4 million cases could have been avoided if staff were allowed to work from home, calling it a “stain” on the reputation of the civil service: “In 21 years, I have never encountered the level of incompetence and mismanagement that is on display at the DVLA in Swansea.”

“We believe that if the department of work and pensions can deal with three million universal credit claims, if HMRC can deliver furlough scheme, if we have workers in the home office ministry of justice, devolved nations, working from home handling in some cases much more secure data so could the DVLA.”

The head of the PCS also said that the actions of the DVLA have put its workers at a significant health risk, with more than 643 confirmed Covid cases and one fatality.

However, chief executive of the DVLA Julie Leonard has denied this, claiming that staff safety has been prioritized during the pandemic:

“We have taken staff safety incredibly seriously at every point in this. Had it been easy to have more people working at home, we would have done it. Staff safety really has come first.”

A provisional deal between the DVLA and PCS recently fell through without explanation, according to Serwotka, who said: “Targeted action will continue at the DVLA unless the original deal, which both parties had agreed in principle, is back on the table.”

The DVLA has faced major criticism for some time, with some motorists left unable to drive for months, and others complaining of unreturned documents. The DVLA receives around 60,000 pieces of mail daily, but says online operations – which can be used for most of its services – are unaffected. Drivers with medical conditions often have to rely on physical documents, though, while medical professionals’ letters often required by the DVLA are also subject to delays. 

The DVLA said: “There are significant delays in processing paper applications and contacting us due to ongoing industrial action and social-distancing requirements.

Paper applications are taking, on average, up to six weeks to process, but there may be longer delays for more complex transactions.”

The agency added the people can continue to drive after submitting an application, as long as they have not been instructed not to do so by a doctor or optician. It called the strike action “disappointing”, and said PCS is “targeting services that will have the greatest negative impact on the public, including some of the more vulnerable people in society”.  By Graham Hill thanks to Auto Express.

A new course to help drivers get to grips with electric vehicles (EVs) has boosted the real-world range of a fleet’s plug-in cars by up to 20%.

TTC is giving companies and drivers the opportunity to get the most from their EVs via its new Electric Aware course.

Construction company Willmott Dixon has put its drivers through the course and says it has seen some drivers improving their EV range by 20%.

The course forms part of Willmott Dixon’s support to transition more people into EVs. It launched a new vehicle scheme in January, encouraging staff to consider EVs and it has seen ‘several hundred applications’.

More recently, it announced it was rolling out EV charge points across all its sites and offices at more than 100 locations.

“During the course we drove on a variety of roads including open country lanes, motorways and in-town traffic,” said Gary Ketch, group principal health, safety and environmental inspector at Willmott Dixon. 

“The session was adaptive with the instructor explaining how I could improve my driving and range with adjustments to my car’s settings and driving habits.”

By driving with an instructor, Ketch had the benefits of regenerative braking explained in detail and this learning came together to improve his mpkWh average energy consumption by 20% in just a few hours, says TTC.

The course is offered either as a virtual half-day classroom where drivers are educated about their vehicles, the latest EV technology and the wider electric car eco system, or via a half day or full day in-car practical driving session with an instructor.

The course ensures drivers approach their new EVs with a fresh mindset which will enable them to get the most from their new EVs, says TTC.

The Electric Aware course also provides information on the UK’s charging infrastructure, battery life and tax and grant information all with the aim of educating and dispelling fears that still exist around EV ownership.

Instructor sessions include an individual driving style assessment and recommendation on which settings to use on their EV.

Martin Starkey, product manager development and implementation at TTC, said: “This is the biggest revolution in the automotive industry for over 100 years.

“EVs require a whole new mindset towards driving and our course helps change driver habits and adapt their approach to driving which has immediate benefits on key elements like range. Hopefully, we can reduce the levels of range anxiety among EV drivers.”

A half day on-road course costs £295 and a full day £445. A half day virtual workshop costs £345.  By Graham Hill thanks to Fleet News

Following on the heels of VW who are installing chargers into 400 Tesco car parks for all EV drivers to use irrespective of make of car.

Tesla will enable cars from other manufacturers to use its Supercharger network later this year, according to Elon Musk.

The company’s CEO made the announcement on Twitter, but no further details of the arrangement have been outlined.

His tweet said: “we’re making our Supercharger network open to other EVs later this year.”

Currently the Tesla Supercharger Network is available exclusively to Tesla drivers, meaning units in the UK do not have to meet the Government’s requirements for ad-hoc access to public charging.

The Supercharger points provide up to 250kW of charging power, but would require users of non-Tesla vehicles to use a socket adapter for compatibility. There are currently 600 charge points in the network.

Telsa’s Supercharger network was found to be the nation’s favourite in a recent poll by What Car?.

Users rated it very highly for reliability, charging speed, ease of payment and value for money, giving it an overall score of 89.8%.

Drivers of other electric vehicles told What Car? that the Instavolt network was their preferred public charger. It achieved an overall score of 81.2% and was the top scoring network for reliability with 92.6%.

Gridserve’s Electric Highway gained the highest score of 74.9% for location, the motorway network was rated worst for reliability, scoring just 23.7%. This network was previously operated by Ecotricity and has only recently been taken over by Gridserve, which has promised to revamp every location by the end of this year.  

Steve Huntingford, editor, What Car?, said: “Our investigation highlights the significant differences between electric car public charging networks. Those that offer the fastest charging speeds are not necessarily the best to use, and some of the most affordable can also be the most inaccessible. As more people switch to EVs the demand for public chargers will increase, and EV owners really do need to shop around to find the best charging solutions.”

When it comes to charging speed, Tesla took the lead and scored 95.5%, followed closely by Ionity with 95.3% – both providers offer charging speeds of above 200kW.

Tesla’s flat charging fee of 28p per kWh helped it gain the best score for value for money, too, whereas Ionity’s 69p per kWh charge earned it a rating of just 19.5%, the worst in What Car?’s data. 

The easiest networks to use were those that allowed drivers to tap and pay and didn’t require them to register, while those with glitchy apps, lengthy sign-up processes or a requirement to use a physical charging card to activate a charge point were rated down in this area. Worst of all was Charge Place Scotland, which has a complex registration process and took 10 days to send out a charging card, without which you can’t access the network.

However, it was Charge Your Car that came last overall because its charge points were deemed unreliable and in What Car?’s experience were frequently blocked by other vehicles because they were at the roadside with no dedicated electric car bays. It scored just 26.6% for reliability and 34.4% for location, and managed only 43.5% overall.

What Car? charge point survey results:

Company	Reliability	Location	Charging speed	Value for money	Ease of payment	Overall score
1 Tesla	83.7%	74.3%	95.5%	95.5%	100%	89.8%
2 Instavolt	92.6%	63.5%	79.0%	71.0%	100%	81.2%
3 Osprey	80.6%	71.3%	61.7%	69.8%	100%	76.7%
4 Shell Recharge	75.0%	53.5%	91.7%	57.5%	100%	75.5%
5 Pod Point	70.3%	69.9%	54.7%	93.0%	70.0%	71.6%
6 Gridserve Electric Highway	23.7%	74.9%	84.6%	67.6%	100%	70.2%
7 BP Pulse	36.9%	45.0%	87.2%	52.0%	100%	64.2%
8 Ionity	60.6%	61.4%	95.3%	19.5%	70.0%	61.4%
9 Engie	53.8%	54.5%	59.5%	91.9%	40.0%	59.9%
10 Charge Place Scotland	55.0%	63.7%	60.5%	90.9%	20.0%	58.0%
11 GeniePoint	58.5%	34.6%	55.0%	70.8%	70.0%	57.8%
12 Charge Your Car	26.6%	34.4%	49.2%	67.2%	40.0%	43.5%

By Graham Hill thanks to Fleet News & What Car?

All drivers and especially fleet operators are being advised to proactively protect their vehicles and drivers, following a crash for cash report from the Insurance Fraud Bureau (IFB).

SmartDrive Systems, a provider of in-vehicle camera systems, says the report must act as an urgent wake up call to any operators not using camera footage as part of their accident management process.

The IFB report identifies more than 170,000 insurance claims potentially linked to cash for crash gangs, out of 2.7m claims made between October 2019 and December 2020.

“A number of our fleet customers, particularly those operating vans on last mile delivery, have found themselves particular targets of this criminal behaviour,” said Penny Brooks, managing director of SmartDrive Systems.

“The term ‘fraud’ doesn’t begin to capture the nature of crash for cash offence,” she added. “These people are weaponising vehicles and attacking commercial vehicle drivers. This is physically dangerous; it is highly stressful and it can shatter a driver’s confidence. Not to mention the cost to the fleet operator. “

Crash for cash scams can range from paper-based fabrications, or vehicles being damaged behind closed doors, through to those where collisions are being caused by fraudsters.

IFB investigations have found single gangs can be behind thousands of orchestrated collisions in some areas, with the combined value of their fraudulent claims running into the millions.

The Midlands, North West and London were highlighted as particular problem areas by the IFB, with Birmingham named the most dangerous city in the UK for collision scams.

A proactive video solution can provide protection against these scams. The SmartDrive system captures 10 seconds of footage before and after a collision, giving an unarguable narrative. The driver can also manually activate the cameras for recording events or self-protection.

Footage is offloaded via the cellular network in near real time, preserving the data and speeding First Notification of Loss (FNOL), claim process and claim dismissal.

Brooks said: “We have helped our customers dismiss literally thousands of fraudulent cash for crash claims this way and save hundreds of thousands of pounds.

“If all commercial vehicles had a suitable camera system, we could drive these criminals off the road, for good. Our drivers are a precious resource and we should do all we can to protect them.”  By Graham Hill thanks to Fleet News

A price premium for pure used battery electric vehicles (BEVs) is leaving many buyers reluctant to make the switch, when faced with a cheaper, second-hand diesel car.

Alternative fuel vehicles, which include mild and plug-in hybrid models as well as pure electric cars, only account for between 5-8% of Aston Barclay’s used stock.

However, for some fleet customers it can be as high as 10-12% of their total inventory, according to Martin Potter, Aston Barclay’s managing director – customer.

He says fleet vendors are realising that, while they may be currently remarketing three-year-old internal, combustion engine (ICE) vehicles, their product mix will quickly change with the majority of new fleet registrations becoming electric.

Recent research from Centrica Business Solutions showed a healthy appetite for fleet electrification, with UK businesses planning to spend £16 billion on plug-in vehicles in 2021 – a 50% uplift on last year.

It revealed that UK firms spent £10.5bn on EVs and on-site charging points during the year to March 2021 but are now planning £15.8bn of investment in the same area over the next 12 months.

Two fifths (40%) of those questioned said they had increased the total number of EVs within their fleet between April 2020 and March 2021.

Incentives for fleets and company car drivers have helped drive the record-breaking EV registrations, thanks to new benefit-in-kind (BIK) tax rates, introduced last spring.

“We’re all working very hard to understand the market and, most importantly, to understand where the consumers are coming from,” Martin Potter, Aston Barclay

Overall, there were 108,205 battery electric vehicles BEVs sold in 2020, according to the Society of Motor Manufacturers and Traders (SMMT), significantly more than the 66,879 plug-in hybrid electric vehicles (PHEVs) registered during the year.

In terms of non-plug-in mild hybrids, the SMMT data shows that 110,087 cars were registered.

Two-thirds (67%) of the registrations for BEVs and PHEVs (68%) were from fleets, last year.

Potter said: “The hybrid stock we’re selling is 44 months old, on average, 48,000 miles and the average price is around £13,000.

“That is very similar to the typical fleet stock and it’s at a price the consumer can work with, whereas you then look at the battery electric that has an average age of 20 months, 18,000 miles and £25,000 average sale price.

“The gap between what somebody has to pay for that and a diesel or even a hybrid equivalent is currently so vast it’s hard for them to justify, but that will change.”

Dylan Setterfield, head of forecast strategy at pricing experts Cap HPI, recently told Fleet News that the higher residual values (RVs) in absolute terms enjoyed by EVs are not simply because they have higher list prices; low volumes also have an impact.

RVs are supported by carefully managed remarketing strategies by the manufacturers, keeping used examples in the dealer network or negotiating bulk deals for niche second-hand use,

However, he expects the current price premium of used BEVs and PHEVs will gradually reduce over time thanks to increasing volumes.

Values of older used models may also come under pressure if newer models come with better technology or a cheaper list price.

“We’re all working very hard to understand the market and, most importantly, to understand where the consumers are coming from,” said Potter.

Covid helps drive ‘time to sell’ reduction

After welcoming back buyers to auctions halls in April, Potter told Fleet News that the return to physical sales had proved worthwhile, with conversion rates increasing and those in attendance accounting for a higher proportion of final bids. “The physical buyers were definitely buying more cars,” he said. 

Aston Barclay has been employing an “omni-channel” sales approach to remarketing its vehicles, with the mix dependent on the sector its serving.

Fleet cars, for example, are sold online but buyers are also able to bid in person in the auction hall. Cars aren’t driven through the auction hall, however, with buyers instead able to view stock prior to the sale.

Stock where condition can be more of a potential issue, such as dealer part-exchange, is being driven through the auction hall, while OEM stock is dealt with offsite and completely virtually.

Potter said: “I’m really pleased we’ve got this different approach for different sectors and without the pandemic I think it would have been really hard to do.

“The pandemic has forced people to get used to the different technologies and different ways of remarketing.”

He continued: “It’s a really exciting time for the business. More and more people are looking for diversity in getting vehicles to market to maximise their values, but most importantly is less days to sell, especially in the fleet and finance sectors.”

Once a vehicle comes off the fleet, the leasing company is no longer receiving a monthly rental so time to sell is crucial, particularly when it’s a depreciating asset.

“They want the money back in the bank so they can finance another one,” explained Potter. “We’re now able to use new technologies, products and services that can all lend themselves to reducing the number of days to sell.

“For example, we’ve got some customers using our app-based appraisal tool three or four weeks before the car’s contract is due to be terminated, which allows us to start remarketing it before its defleeted. That’s going to reduce days.” By Graham Hill thanks to Fleet News

Confusion Over The Government’s EV Plans.

The Government’s long-awaited transport decarbonisation plan has been delayed after it lacked the ambition to meet targets, including the 2030 ban on new diesel and petrol vehicles.

The plan was originally due to be published before the end of 2020 and was then pushed back to spring 2021.

It will now miss that deadline after transport minister Rachel Maclean told MPs in a Westminster debate that she was not happy with the draft plan.

She said: “I am not satisfied with the draft because it does not meet the ambition we need in order to reach those incredibly challenging targets.”

She told the debate in Westminster Hall that she was unable to give a publication date, but the Department for Transport (DfT) intended to publish the plan “soon”.

The plan is the first time the UK will lay out its approach to decarbonising every form of transport and is an essential part of achieving the legal requirement for net zero emissions by 2050 and the Climate Change Committee’s sixth carbon budget.

Maclean told MPS that the Government is developing three key policy documents over the course of 2021.

“The first is a delivery plan that will set out key Government commitments, funding and milestones… for the 2030 and 2035 phase-out dates,” she said.

“It will deal with the question whether we will have a zero-emission vehicle mandate.”

An infrastructure strategy will set out the “vision and action plan” for the charging infrastructure roll-out that is needed to achieve the phase-out date successfully and accelerate the transition to zero emission transport.

“As part of this strategy we are working with local authorities, charge point operators and other stakeholders to ensure that our future charging infrastructure is practical, accessible, reliable and achievable, alongside outlining all the key roles and responsibilities for all actors in the EV charging sectors,” continued Maclean.

“It is clear that we need more charge points everywhere and this Government will set out how that will take place.”

It will also bring forward the Green Paper on the UK future CO2 emissions regulatory framework, which will set out how the UK will phase out petrol and diesel cars and vans and support the interim carbon budgets. This will include “consulting on which vehicles exactly can be sold between 2030 and 2035”.

Maclean also said that the Government intends to “support people to charge their cars at home”.

She explained: “We are working closely with the Ministry of Housing, Communities and Local Government at the moment and we have consulted on plans to introduce a requirement for every new home to have a charge point, where there is an associated parking space. We will publish our response soon.

“We aim to lay regulations in Parliament in 2021 – this year – that will make England the first country in the world to introduce mandatory charge points in new homes, again cementing our position as the global leader in the race to net zero.”

The Government also intends to tackle the issue of public charge points not working.

When questioned by Labour’s shadow minister for green and future transport Kerry McCarthy whether there would be legislation requiring charge point operators to meet certain reliability standards, Maclean said: “We already have those powers in legislation and we intend to use them.”  By Graham Hill thanks to Fleet News

Councils outside London will be given powers to enforce so-called moving traffic offences from December, the Government has confirmed.

The powers were initially outlined by the Prime Minister, Boris Johnson, last year, in an effort to increase walking and cycling in England.

The new enforcement powers will allow local authorities, rather than the police, to enforce against moving traffic offences such as disregarding one-way systems or entering mandatory cycle lanes.

The change has already taken effect in London, where reports suggest it has significantly reduced police workload on traffic offences, allowing officers to prioritise more important matters, while also improving enforcement.

The Government is proposing that motorists be issued with a warning for a first offence, and fines for subsequent offences.

Speaking at this week’s Traffex conference, transport minister Baroness Vere said: “Local authorities will need the tools to manage roads in the way that best serves local needs, which may vary in different parts of the country, and it is this ethos of localism that lies behind our decision to give more powers to local authorities under the Traffic Management Act.”

A freedom of information request made by the RAC to all local authorities that currently have the power to enforce these offences in England and Wales – the London boroughs and Cardiff Council – found revenue from issuing penalty charge notices (PCNs) to drivers increased by 25% between 2016/17 and 2018/19.

The enforcement of moving traffic offences such as stopping on a yellow box junction, making an illegal turn or driving down a ‘no entry’ road resulted equated to £58.2m in 2018/19 for authorities – £11.5m more than in 2016/17 (£46.7m).

RAC spokesman Simon Williams said: “It’s right that councils outside London have the ability to enforce known rule-breaking hotspots, but we’re fearful that some authorities may be over enthusiastic in using their new powers for revenue raising reasons, to the detriment of drivers.

“While the Government has pledged to give councils advice on how best to let drivers know enforcement is taking place, what’s really needed is clear guidance on making sure enforcement is always carried out fairly.

“Drivers who blatantly ignore signage or highway rules should expect penalties, but there are instances which are not always clear-cut.”

Williams says that large yellow box junctions, for example, can be particularly problematic to get across without stopping, often due to their design.

“It’s important common sense is applied rather than instantly issuing penalties to drivers,” he said.

“The first thing councils should do is review the road layout at these junctions to make sure drivers can negotiate them at all times, but especially at busy periods.”

The RAC also wants councils to closely monitor the number of penalty charge notices issued, as very high volumes in one particular location is likely to indicate something is wrong, either with signage or the design of the road.

“In these circumstances, we feel it would be wrong for drivers to have to pay up,” said Williams.

“More broadly, there’s a good argument for authorities to issue warning letters in the first instance rather than fines.

“We also believe drivers should be able to appeal easily if, for example, they receive a penalty for slightly moving into a yellow box to allow an emergency vehicle through.”  By Graham Hill thanks to Fleet News

Electric vehicle (EV) mapping service Zap-Map said it saw a 280% increase in electric routes planned in May 2021 versus the same period two years ago, and a 39% increase versus April 2021.

There are over 500,000 plug-in cars on UK roads as sales have increased by more than 55% over the past year, according to Zap-Map.

The company said the growth in sales, coupled with the UK’s gradual release from lockdown, has led to an increase in new and existing EV drivers planning both their longer journeys for the bank holidays in May and future trips over the summer.

The new figures have been released to coincide with the launch of Zap-Map’s new subscription plans: Zap-Map Plus and Zap-Map Premium.

The new service provides additional features in addition to the app’s core search, plan and pay services which remain free, and is targeted at drivers who regularly use the public charging network, said Zap-Map.

Melanie Shufflebotham, Zap-Map’s co-founder and chief operating officer said: “A new generation of EV drivers are eager to hit the road.

“This new data shows how the sector is picking up speed at an astonishing rate and Zap-Map is on hand to show people the way.

“Our new service is built for everyone; from total beginners to experienced EV heads.”

The boom was also reflected in an estimated 180% increase in usage of public charge points between May 2019 and May 2021, a period during which Zap-Map’s data shows the number of public charging points in the UK has grown by 70%.

Usage of the charging network increased 34% in May versus the previous month, the data found.

A new tariff from Good Energy, in partnership with Zap-Map, allows drivers to charge their plug-in car for free.

Zap-Map said it has over 200,000 registered users, double the number since last year and has mapped over 95% of the UK’s public points.

Over 75% of UK EV drivers have downloaded Zap-Map, and downloads have grown 67% over 2020.  By Graham Hill thanks to Fleet News

The following warning applies to all drivers although the report was aimed at company car or fleet drivers.

Company car and van drivers are being urged not to drive for longer than two hours without taking a break, after new research revealed a worrying trend in tired driving.

The survey, from road safety organisation IAM RoadSmart, found that one-in-10 drivers had momentarily closed their eyes because they were so tired.

The same number (10%) of drivers also admitted that they had hit the rumble strip, while two-in-five (40%) had turned down the heating or rolled down the windows in order to stop them from being tired.

Neil Greig, IAM RoadSmart director of policy and research, said: “Fatigue behind the wheel is a very serious problem, perhaps more concerning than previously thought of.

“The potential carnage that could result from even one accident doesn’t bear thinking about.”

More than half of drivers said they were very concerned about fatigue when driving long distances, while encouragingly around a quarter of drivers had pulled over for a rest or a coffee as the road safety experts advise.

“Driving a long distance needs pre-planning to ensure there are plenty of available rest places and to make sure there’s enough time to complete the journey if delays are encountered,” explained Greig.

“Never drive for longer than two hours without a break and take particular care if driving when you would normally be asleep. This is even more important as the country reopens after the pandemic and not all facilities may be available yet.

“Drivers can then concentrate on staying alert behind the wheel rather than staving off tiredness by trying to reach their end destination without adequate rest breaks.”  By Graham Hill thanks to Fleet News

Bosch has opened a €1 billion (£860m) semiconductor fabrication facility in Dresden, Germany – the largest single investment the company has ever made.

Production in Dresden will start as early as July – six months earlier than planned, with the first semiconductors made in the new plant to be installed in Bosch power tools.

For automotive customers, chip production will start in September, three months earlier than planned.

With the automotive sector facing a global semiconductor shortage and fleets facing increased SMR costs and lead times due to the microchip crisis, Bosch says that the new factory will be an important part of the semiconductor manufacturing network.

Harald Kroeger, Bosch board member with responsibility for the Mobility Solutions, says automotive microchips are the “ultimate discipline” in semiconductor technology.

“This is because in cars these small building blocks have to be especially robust,” he explained. “Nowhere else are they subjected to such strong vibrations and extreme temperatures.”

He says that demand for automotive semiconductors is rising. As recently as 1998, the value of semiconductors in a car was 170 euros (£145), by 2023 it will have exceeded 600 euros (£514).

However, chairman of the board of management of Robert Bosch GmbH, Volkmar Denner, stressed that the new semiconductor factory would not solve the chip shortage, but would help “contribute” to the increasing demand.

“We can provide some help, but we certainly cannot resolve that overall shortage,” he said.

Every car- and van-maker is being impacted by the computer chip crisis, with some delivery times for cars lengthening from three to six months, and many new vans not expected to be delivered until 2022.

Vehicle production lines have been temporarily halted, focus has been shifted to high demand vehicles and some options are not being offered.

Furthermore, with the auto industry facing tough new emissions targets, lower emitting models have been prioritised in some cases.

Bosch says the semiconductor shortage could last well into next year.  By Graham Hill thanks to Fleet News